6
How Much Work Has Moved Offshore? No One Knows –No one in government is collecting data Commerce Department has pilot study of $335k complete GAO survey concludes current government data provide limited insight. $2million study underway by NAPA Companies are reluctant to reveal their plans Some High Skill/High Wage Work Is Moving We Do Know It Is Accelerating –Driven by top level management

10
Just Low Level Work? Sample Intel India Job Ad RF Simulation Engineer (Job# 274125) In this position you will build various antenna, RF channel and PHY/MAC models for various RF technologies; and simulate platform noise impact. You will also interact closely with internal wireless product groups to develop solutions to enhance RF performance in notebooks. This position requires a M.S. or Ph.D. in Electrical Engineering with experience in mobile notebooks, WPAN, WLAN, WMAN, WWAN and platform noise. You must also possess: - Experience building various antenna, channel, PHY/MAC models, prototypes, test systems; and simulating the impact of multiple radios that are integrated into notebooks Go to: www.monsterindia.com

15
Developing Country Impacts ? Best and Brightest Supply External Markets Versus Domestic Problems Loss of Sovereignty to MNCs? Proper Use of Scarce Resources –Work on male baldness rather than on malaria –Help Indian urban in lieu of rural Race to the Bottom? –Potential for Smokestack Chasing –Mexican Maquiladoras and China

17
Jobs Moving Overseas Ideal Scenario Before Offshoring US Workers do –A, B, C Offshore Workers are –Idle After Offshoring US Workers do –B, C, D Offshore Workers do –A and some of B

18
Jobs Moving Overseas Predicted Impacts Job Dislocation –Hope for quick re-employment Change in Mix of Domestic Occupations –US workers will shift to non-tradable jobs Cant compete on price –Will the new mix be better than the old one?

19
Jobs Moving Overseas Predicted Impacts Downward Pressure on US Wages for Tradable Occupations –Silver lining according to some industry reps –US IEEE members experienced decline in wages from 2002 to 2003 for the first time since surveys began in 1973 No One Can Predict Future –Creating future competitors?

23
IT Job Dislocations Immediate Impacts US IT jobs are going to Bangalore –No job creation means no reabsorption –No practical advice on what they should do Downward Wage Pressure Already Apparent Future Generation Receiving a Signal –CRAs survey showed a 23% drop in BS enrollments in 2003 in Computer Science –MIS dept enrollments down substantially

24
Unpredictable Longer-term Impacts on Innovation & Security What Will Be New Occupational Mix For US? –Will the best & brightest pursue these technology professions? –Where will future technology leaders be developed? –Who captures the wealth & jobs created by the next big thing? Impacts on Military Superiority & Homeland Security? –Can economic studies predict this?

28
Offshore Outsourcing Firms Hiring Briskly Hughes Software Systems (HSS) –Double staff over next 6 quarters by adding 2,500 Tata Consultancy Services –Revenues up 44% & Profits up 51% –Added a net 3,974 employees in the quarter and has now expanded staff by 7,000 this year Infosys –Profits up 49% –To meet vigorous demand for outsourcing, Infosys hired 5,010 people during the quarter, slightly less than 5,100 hired in the whole of the last fiscal year. Plans to hire up to 4,500 more in the next six months.

32
What You Can Do 1.Meet with your Congressperson in his/her district office 2.Go to IEEE-USA Legislative Action Center website and write to your legislators Respond to an Action Alert Russ Harrison, IEEE-USA staffer, can help 3.Write to state legislators

33
What You Can Do 4.Enlist members of Regions/Sections/Chapters/PACE To be effective, we need large numbers 5.Spread the word amongst colleagues, family and friends 6.Provide IEEE-USA with individual stories We want to better understand the situation of members Back up the statistics with individualized stories to get an effective message out

34
Look for my book available in April 05 Published by the American Management Association